FranchiseVerdict
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FV-00496·CAUTIONStandard62

Champs Chicken

Food & Beverage - Quick ServiceFranchising since 2014Website
Investment
$9K – $349K
0th pct Quick Service
Avg revenue
60th pct Quick Service
Royalty
Units
401
85th pct Quick Service
SBA default
0.0%
vs <3% typical

Bottom line

  • Total investment $9K – $349K including a $0 franchise fee.
  • No Item 19 financial performance data disclosed — the franchisor chose not to publish revenue figures.
  • Rated CAUTION with a risk score of 71/100. SBA loan default rate of 0.0% across 1 loans (below the industry average).
  • System contracting at -7.2% CAGR over 3 years. Investigate whether closures are franchisor-driven (consolidation) or franchisee-driven (economics).

Item 1 · who you're contracting with

The Franchisor

Legal entity
Champs Chicken Franchising, LLC
Incorporated in
Delaware
HQ
120 Commerce Drive, Holts Summit, Missouri 65043
Auditor
Eide Bailly LLP
Audited financials
Franchisor revenue
$203K
vs $191K prior year

Yale framework · single-unit ROIC

Returns Analysis

Pulls Item 7 (investment) and Item 19 (revenue) from this brand's FDD into the Yale unlevered-ROIC formula. Override any input to stress-test it against your own assumptions.

The model · Yale framework

What would one Champs Chicken unit return on the cash you put in?

Revenue · per unit, per year
$
Item 19 not disclosed — typing your own estimate
Franchisor take · royalty + ad fund
Royaltytyp 68%
%
Ad fundtyp 35%
%
Operating costs · category default: qsr
COGS
%
Labor
%
Rent / occupancy
%
Other operating
%
Total invested capital · what you actually put in
Initial investment
$
FDD Item 7: $9K–$349K
Working capital
$
FDD reports $3K–$30K

Unlevered ROIC · per unit

46%

In Yale's "attractive" band (30–60%)

0%30–60% Yale band80%

Store EBITDA · annual
$90K
EBITDA margin
12.0%
Total invested
$196K
Payback
26 mo
Unit-level only. A multi-unit portfolio gives up roughly 5–15% of this to shared services (corporate G&A) before reaching the ~10-unit break-even Yale describes.

Overview

About

Champs Chicken franchisees operate quick-service chicken restaurants, handling daily food preparation, customer service, inventory management, and staff supervision. The business model focuses on chicken-based menu items with varying formats from small kiosks to full-service locations depending on the investment tier.

CEO
Shawn Burcham
Founded
2013
FDD year
2024
States available
36

Item 7 · what it costs

The Vitals

Total investment
$9K – $349K
All-in to open one unit
Liquid capital
$3K – $30K
Cash you must have on hand
Franchise fee
$0
Royalty
None
Ad fund
4.0%
typical 3–5%
Total fee load
4.0%
vs 9–13% typical

Item 19

Financial Performance

This franchisor did not disclose financial performance representations in Item 19, or our extractor could not parse them.

Item 20 · unit dynamics

The Growth Chart

Total units
401
Opened
28
Last reporting year
Closed
43
Turnover rate
10.7%
Company-owned
1
Corporate units in the system
% franchised
100%
vs corporate-owned
Net growth (yr3)
-3.6%
Net unit change last year
3-yr CAGR
-7.2%
Compounded over last 3 years
2022
400-15
Franchised units
2023
415
Franchised units
2024
431
Franchised units

Year-over-year franchised unit counts and net change. Source: FDD Item 20.

Item 20 · 28 states with active franchisees

The Territory Map

Derived from franchisee contact records. Shows states with at least one current operator — not where the franchisor is registered to sell new units (that data is re-extracting in a future refresh).

AK
ME
VT
NH
MA
RI
CT
NY
NJ
PA
DE
MD
DC
WA
OR
CA
NV
ID
MT
WY
UT
CO
AZ
NM
ND
SD
NE
KS
OK
TX
MN
IA
MO
AR
LA
WI
IL
MS
TN
MI
IN
KY
AL
OH
WV
GA
VA
NC
SC
FL
HI
Registered · 28 states
Not registered

States derived from franchisee phone area codes (Item 20). Approximate — ported numbers may show the original state, not the franchisee's current location.

Government records

SBA Loan Data

Aggregated from SBA 7(a) loan disclosures, public data unique to FranchiseVerdict.

Total loans
1
Loan volume
Avg loan
Default rate
0.0%
vs <3% typical · system-wide
5-yr default

FranchiseVerdict rating + FDD Items 3, 5, 6, 12, 17

Risk & Legal

71
Risk · 0-100
CAUTION71 / 100

Champs Chicken presents HIGH RISK due to system contraction, multi-state regulatory violations, undisclosed financials, and evidence of franchisor-franchisee disputes over payments.

Score breakdown · what drove the 71 / 100 rating

  1. 01MINORNegative unit growth (-3.6% YoY) indicates system contraction and potential franchisee dissatisfaction
  2. 02MEDMultiple regulatory violations across three states (Missouri, Illinois, Washington) suggesting compliance issues and operational negligence
  3. 03MINORZero franchise fee with $0–$349K investment range is unusually broad, indicating unclear or inconsistent franchise model
  4. 04MEDNo average revenue or net income disclosure (missing Item 19) prevents validation of profitability claims
  5. 05HIGHActive litigation regarding rebates suggests franchisor-franchisee financial disputes and broken promises
  6. 06MINORSuspended registration in Illinois and permit violations in Washington indicate franchisor failed basic legal obligations
  7. 07MINORDeclining unit count combined with non-disclosure makes it impossible to assess franchisee success rates

Severity inferred from the FDD text · not a regulatory classification

FDD Items 5, 6, 12, 17 · continued from Risk & Legal

Contract & Territory Detail

Territory
Radius
Protected territory
Yes
Online sales rights
Restricted
Franchisor can compete
Yes
Hire a manager?
Allowed
Litigation count
3
Right of first refusal
No
Franchisor can buy back on resale
Mandatory arbitration
No
Jury trial waiver
Yes
Owner-operator
Required
Governing law
Delaware

Item 11

Training & Operations

Classroom training
0 hrs
On-the-job training
11 hrs
POS system
MicroSale
Operating tech stack

Item 20

Franchisee Contacts

Phone numbers extracted directly from this brand's FDD Item 20. After purchase, you'll also receive a list of validation questions tailored to this brand.

Franchisee contacts

54 numbers

Locked
(563) 552-••••
IA
(678) 938-••••
GA
(706) 315-••••
GA

One-time purchase · CSV download · Validation questions included

FDD download

Champs Chicken · FDD (2024) PDF

Single-page checkout · instant download · CSV export of contacts available separately above